Basel III

aid: basel-iii
name: Basel III
description: Basel III is a comprehensive global regulatory framework developed by the Basel Committee on Banking Supervision
  (BCBS) in response to the 2007-2008 financial crisis. It strengthens bank capital requirements by requiring higher quality
  and quantity of capital (CET1, Tier 1, Total Capital), introduces new liquidity standards (LCR and NSFR), adds a leverage
  ratio backstop, and includes countercyclical capital buffers and G-SIB surcharges. Basel III implementation in the EU/UK
  is delivered via CRD IV/V and CRR regulations. The final Basel III package (sometimes called Basel IV) addresses output
  floor and credit risk model constraints introduced in 2017.
type: Index
kind: standard
deliveryModel:
  model: unknown
  open_source: false
  commercial: false
  callable_host: false
  label: Delivery model not determined — needs a product licence on record
  confidence: low
  source:
  - none
  generated: '2026-08-28'
  method: derived
accessModel:
  pricing: unknown
  onboarding: unknown
  trial: false
  try_now: false
  public: false
  label: Unknown
  confidence: low
  source: []
  generated: '2026-07-22'
  method: derived
image: https://kinlane-images.s3.amazonaws.com/shared/apis-json/icons/basel-iii.png
tags:
- Banking Regulation
- Basel III
- Capital Adequacy
- Capital Requirements
- Compliance
- Finance
- Liquidity
- Risk Management
url: https://raw.githubusercontent.com/api-evangelist/basel-iii/refs/heads/main/apis.yml
created: '2025-01-01'
modified: '2026-04-21'
specificationVersion: '0.23'
apis: []
common:
- type: DomainSecurity
  url: security/basel-iii-domain-security.yml
- type: Website
  url: https://www.bis.org/bcbs/basel3.htm
  name: Basel III Framework (BIS)
- type: Website
  url: https://www.eba.europa.eu/regulation-and-policy/own-funds-and-eligible-liabilities
  name: European Banking Authority - Own Funds
- type: Website
  url: https://www.federalreserve.gov/supervisionreg/Basel.htm
  name: Federal Reserve - Basel Implementation
- type: Website
  url: https://www.pra.boe.co.uk/pages/policy/crr
  name: UK PRA - CRR Implementation
- type: Website
  url: https://www.bis.org/bcbs/publ/d424.htm
  name: Basel III Final Package (Dec 2017)
- type: Website
  url: https://www.bis.org/publ/bcbs189.htm
  name: Basel III Framework Document (Jun 2011)
- type: Website
  url: https://www.bis.org/publ/bcbs238.htm
  name: Liquidity Coverage Ratio (Jan 2013)
- type: Website
  url: https://www.bis.org/publ/bcbs295.htm
  name: Net Stable Funding Ratio (Oct 2014)
- type: Vocabulary
  url: vocabulary/basel-iii-vocabulary.yaml
  name: Basel III Vocabulary
- type: JSONLD
  url: json-ld/basel-iii-context.jsonld
  name: Basel III JSON-LD Context
- name: Governance
  type: Governance
  data:
  - name: Governing Body
    description: Basel Committee on Banking Supervision (BCBS) at the Bank for International Settlements (BIS).
  - name: Oversight
    description: Group of Central Bank Governors and Heads of Supervision (GHOS) endorses all BCBS reforms.
  - name: Implementation
    description: National regulators implement Basel standards through domestic legislation; EU via CRD/CRR, US via Federal
      Reserve rules.
  - name: Transitional Period
    description: Basel III final package (Basel IV) transitions run from 2023 to full implementation by January 2028.
  - name: Membership
    description: 45 member institutions (central banks and bank supervisory authorities) from 28 jurisdictions.
- name: Key Standards
  type: Features
  data:
  - name: CET1 Capital Ratio
    description: Common Equity Tier 1 capital ratio minimum of 4.5% of risk-weighted assets.
  - name: Tier 1 Capital Ratio
    description: Minimum Tier 1 capital ratio of 6% of risk-weighted assets.
  - name: Total Capital Ratio
    description: Minimum total capital ratio of 8% including Tier 2 capital instruments.
  - name: Capital Conservation Buffer
    description: Additional 2.5% CET1 buffer above minimum to absorb losses in stress periods.
  - name: Countercyclical Capital Buffer
    description: Variable buffer (0–2.5%) set by national authorities to dampen credit cycles.
  - name: G-SIB Surcharge
    description: Additional capital surcharge for Global Systemically Important Banks (1–3.5%).
  - name: Liquidity Coverage Ratio (LCR)
    description: 30-day liquidity stress test requiring sufficient High-Quality Liquid Assets (HQLA).
  - name: Net Stable Funding Ratio (NSFR)
    description: One-year structural funding stability requirement to limit maturity mismatch.
  - name: Leverage Ratio
    description: Non-risk-based Tier 1 capital backstop of at least 3% of total exposures.
  - name: Output Floor (Basel IV)
    description: Floor on internal model RWA outputs at 72.5% of standardized approach results.
  - name: FRTB Market Risk
    description: Fundamental Review of the Trading Book replaces Basel 2.5 market risk rules.
  - name: SA-CCR Credit Risk
    description: Standardized Approach for Counterparty Credit Risk replacing CEM and SM methods.
- name: RegTech Use Cases
  type: UseCases
  data:
  - name: Capital Ratio Reporting
    description: Automated COREP capital ratio calculation and regulatory submission.
  - name: RWA Calculation
    description: Credit, market, and operational risk-weighted asset computation under standardized or IRB approaches.
  - name: LCR Monitoring
    description: Daily liquidity coverage ratio calculation and stress scenario modeling.
  - name: NSFR Compliance
    description: Net Stable Funding Ratio computation tracking available vs. required stable funding.
  - name: Leverage Ratio Computation
    description: Tier 1 capital over total exposure measure including off-balance-sheet items.
  - name: Stress Testing
    description: CCAR, EBA stress test scenario modeling for capital adequacy projections.
  - name: ICAAP Support
    description: Internal Capital Adequacy Assessment Process tooling and documentation.
  - name: FRTB Implementation
    description: Trading book boundary enforcement, sensitivities-based method, and IMA implementation.
maintainers:
- FN: Kin Lane
  email: kin@apievangelist.com